https://www.taxtmi.com/caselaws?id=789362 A subcontractor performing exempt works contract services for road and canal construction remains eligible for exemption where the main contractor's supply to governmental authorities is itself exempt, even if payment is made by the main contractor's sister concern. Notification No. 25/2012-ST, including entries 12 and 29(h), extends the exemption to such works contract services and to subcontractors supplying to a main contractor. Section 65B(44) of the Finance Act, 1994 does not require consideration to flow directly from the service recipient. A certificate confirming the work award and authorised payment arrangement was accepted as reliable, and the demand was therefore unsustainable. en-us Mon, 06 Apr 2026 00:00:00 +0530 Wed, 08 Apr 2026 08:56:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=789362 A subcontractor performing exempt works contract services for road and canal construction remains eligible for exemption where the main contractor's supply to governmental authorities is itself exempt, even if payment is made by the main contractor's sister concern. Notification No. 25/2012-ST, including entries 12 and 29(h), extends the exemption to such works contract services and to subcontractors supplying to a main contractor. Section 65B(44) of the Finance Act, 1994 does not require consideration to flow directly from the service recipient. A certificate confirming the work award and authorised payment arrangement was accepted as reliable, and the demand was therefore unsustainable. Case-Laws Service Tax Mon, 06 Apr 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=789362